EVENING. Business.

Host conversion: Host Marriott Corp. said it completed its...

December 31, 1998

Host conversion: Host Marriott Corp. said it completed its plan to convert to a real-estate investment trust and closed its purchase of a $1.2 billion luxury-hotel portfolio from Blackstone Group. By converting to a REIT, Host Marriott, which is based in Bethesda, Md., joins a trend sweeping the hotel real-estate business. REITs have come to dominate the industry in part because they pay no corporate income taxes. Instead, they must distribute at least 95 percent of their taxable income to shareholders as dividends.